Sellers of secondhand clothes prepare for tariffs to give their businesses a boost

NEW YORK (AP) — Stores selling secondhand clothes, shoes and accessories are poised to benefit from President Donald Trump'strade war even as businesses the world over race to avert potential damage, according to industry experts.

American styles carry international influence, but nearly all of the clothing sold domestically is made elsewhere. The Yale University Budget Lab last week estimated short-term consumer price increases of 65% for clothes and 87% for leather goods, noting U.S. tariffs "disproportionately affect” those goods.

Such price hikes may drive cost-conscious shoppers to online resale sites, consignment boutiques and thrift stores in search of bargains or a way to turn their wardrobes into cash. Used items cost less than their new equivalents and only would be subject to tariffs if they come from outside the country.

“I think resale is going to grow in a market that is declining,” said Kristen Classi-Zummo, an apparel industry analyst at market research firm Circana. “What I think is going to continue to win in this chaotic environment are channels that bring value.”

The outlook for pre-owned fashion nevertheless comes with unknowns, including whether the president's tariffs will stay long enough to pinch consumers and change their behavior. It's also unclear whether secondhand purveyors will increase their own prices, either to mirror the overall market or in response to shopper demand.

Jan Genovese, a retired fashion executive, sells her unwanted designer clothes through customer-to-customer marketplaces like Mercari. If tariffs cause retail prices to rise, she would consider high-end secondhand sites.

“Until I see it and really have that sticker shock, I can’t say exclusively that I’ll be pushed into another direction,” Genovese said. “I think that the tariff part of it is that you definitely rethink things. And maybe I will start looking at alternative venues.”

The secondhand clothing market already was flourishing before the specter of tariffs bedeviled the U.S. fashion industry. Management consulting firm McKinsey and Co. predicted after the COVID-19 pandemic that global revenue from pre-owned fashion would grow 11 times faster than retail apparel sales by this year as shoppers looked to save money or spend it in a more environmentally conscious way.

While millennials and members of Generation Z were known as the primary buyers of used clothing, data from market research firm Sensor Tower shows the audience may be expanding.

The number of mobile app downloads for nine resale marketplaces the firm tracks — eBay, OfferUp, Poshmark, Mercari, Craigslist, Depop, ThredUp, TheRealReal and Vinted — increased by 3% between January and the end of March, the first quarterly gain in three years, Sensor Tower said.

The firm estimates downloads of the apps for eBay, Depop, ThredUp and The RealReal also surged compared to a year earlier for the week of March 31, which was when Trump unveiled since-paused punitive tariffs on dozens of countries.

Circana’s Classi-Zummo said that while customers used to seek out collectible or unusual vintage pieces to supplement their wardrobes, she has noticed more shoppers turning to secondhand sites to replace regular fashion items.

"It's still a cheaper option” than buying new, even though retailers offer discounts, she said.

Poshmark, a digital platform where users buy and sell pre-owned clothing, has yet to see sales pick up under the tariff schedule Trump unveiled but is prepared to capitalize on the moment, CEO Manish Chandra said.

Companies operating e-commerce marketplaces upgrade their technology to make it easier to find items. A visual search tool and other improvements to the Poshmark experience will “pay long dividends in terms of disruption that happens in the market” from the tariffs, Chandra said.

Archive, a San Francisco-based technology company that builds and manages online and in-store resale programs for brands including Dr. Martens, The North Face and Lululemon, has noticed clothing labels expressing more urgency to team up, CEO Emily Gittins said.

"Tapping into all of the inventory that is already sitting in the U.S., either in people’s closets or in warehouses not being used,” offers a revenue source while brands limit or suspend orders from foreign manufacturers, she said.

“There’s a huge amount of uncertainty,” Gittins said. “Everyone believes that this is going to be hugely damaging to consumer goods brands that sell in the U.S. So resale is basically where everyone’s head is going."

Stock analysts have predicted off-price retailers like TJ Maxx and Burlington Stores will weather tariffs more easily than regular apparel chains and department stores because they carry leftover merchandise in the U.S.

Still, resale vendors aren't immune from tariff-induced upheavals, said Rachel Kibbe, founder and CEO of Circular Services Group, a firm that advises brands and retailers on reducing the fashion industry's environmental impact.

U.S. sellers that import secondhand inventory from European Union countries would have to pay a 20% duty if Trump moves forward with instituting “reciprocal” tariffs on most trading partners and eliminates an import tax exception for parcels worth less than $800, Kibbe said.

A circular fashion coalition she leads is seeking a tariff exemption for used and recycled goods that will be offered for resale, Kibbe said. Trump already ended the duty-free provision for low-value parcels from China, a move that may benefit sellers of secondhand clothing by making low-priced Chinese fashions pricier, she said.

James Reinhart, co-founder and CEO of the online consignment marketplace ThredUp, said the removal of the “de minimis” provision and the 145% tariff Trump put on products made in China would benefit businesses like his. He doubts creating resale channels would make a big difference for individual brands.

“Brands will explore this and they may do more, but I don’t see them massively changing their operations,” Reinhart said. “I think they’re going to be figuring out how to survive. And I don’t think resale helps you survive.”

Rebag, an online marketplace and retail chain that sells used designer handbags priced from $500 to tens of thousands of dollars, expects tariffs to help drive new customers and plans to open more physical stores, CEO Charles Gorra said.

Gorra said the company would analyze prices for new luxury goods and adjust what Rebag charges accordingly. The two historically rose in tandem, but Rebag could not match Chanel's 10% price increase last year because of lower resale demand, Gorra said.

“That has nothing to do with the tariffs,” he said. “Consumers are feeling priced out.”

Norah Brotman, 22, a senior at the University of Minnesota, buys most of her own clothes on eBay. She also thrifts fashions from the 1990s and early 2000s at Goodwill stores and resells them on Depop.

If tariffs upend the economics of fast fashion and discourage mindless consumption, Brotman would count that as a plus.

“I would love if this would steer people in a different direction,” she said.

A worker walks past boxes of returned or overstocked clothing, shoes, boots, coats, packs and other items in a warehouse where the goods are cleaned or repaired before they are marketed on resale platforms in Englewood, Colo., on Thursday, April 17, 2025. (AP Photo/David Zalubowski)

People work amid boxes of returned or overstocked clothing, shoes, boots, coats, packs and other items in a warehouse where the goods are cleaned or repaired before they are marketed on resale platforms in Englewood, Colo., on Thursday, April 17, 2025. (AP Photo/David Zalubowski)

A man works amid boxes of returned or overstocked clothing, shoes, boots, coats, packs and other items in a warehouse where the goods are cleaned or repaired before they are marketed on resale platforms in Englewood, Colo., on Thursday, April 17, 2025. (AP Photo/David Zalubowski)

A woman works amid boxes of returned or overstocked clothing, shoes, boots, coats, packs and other items in a warehouse where the goods are cleaned or repaired before they are marketed on resale platforms in Englewood, Colo., on Thursday, April 17, 2025. (AP Photo/David Zalubowski)

People work amid boxes of returned or overstocked clothing, shoes, boots, coats, packs and other items in a warehouse where the goods are cleaned or repaired before they are marketed on resale platforms in Englewood, Colo., on Thursday, April 17, 2025. (AP Photo/David Zalubowski)

People work amid boxes of returned or overstocked clothing, shoes, boots, coats, packs and other items in a warehouse where the goods are cleaned or repaired before they are marketed on resale platforms in Englewood, Colo., on Thursday, April 17, 2025. (AP Photo/David Zalubowski)

People work amid boxes of returned or overstocked clothing, shoes, boots, coats, packs and other items in a warehouse where the goods are cleaned or repaired before they are marketed on resale platforms in Englewood, Colo., on Thursday, April 17, 2025. (AP Photo/David Zalubowski)

People work amid boxes of returned or overstocked clothing, shoes, boots, coats, packs and other items in a warehouse where the goods are cleaned or repaired before they are marketed on resale platforms in Englewood, Colo., on Thursday, April 17, 2025. (AP Photo/David Zalubowski)

Bags of returned or overstocked clothing, shoes, boots, coats, packs and other items sit in a fulfillment warehouse after the goods were cleaned or repaired to be marketed on resale platforms in Englewood, Colo., on Thursday, April 17, 2025. (AP Photo/David Zalubowski)

Boxes of returned or overstocked clothing, shoes, boots, coats, packs and other items sit in a warehouse where the goods are cleaned or repaired before they are marketed on resale platforms Thursday, April 17, 2025, in Englewood, Colo. (AP Photo/David Zalubowski)

A worker sews a coat in a warehouse where the goods from various clothing manufacturers are cleaned or repaired before they are marketed on resale platforms Thursday, April 17, 2025, in Englewood, Colo. (AP Photo/David Zalubowski)

Seen through a fisheye lens, people work amid boxes of returned or overstocked clothing, shoes, boots, coats, packs and other items in a warehouse where the goods are cleaned or repaired before they are marketed on resale platforms in Englewood, Colo., on Thursday, April 17, 2025. (AP Photo/David Zalubowski)

Bags of returned or overstocked clothing, shoes, boots, coats, packs and other items sit in a fulfillment warehouse after the goods were cleaned or repaired as they are marketed on resale platforms Thursday, April 17, 2025, in Englewood, Colo. (AP Photo/David Zalubowski)

People work amid boxes of returned or overstocked clothing, shoes, boots, coats, packs and other items in a warehouse where the goods are cleaned or repaired before they are marketed on resale platforms in Englewood, Colo., on Thursday, April 17, 2025. (AP Photo/David Zalubowski)

WASHINGTON (AP) — President Donald Trump has arrived at a delicate moment as he weighs whether to order a U.S. military response against the Iranian government as it continues a violent crackdown on protests that have left more than 600 dead and led to the arrests of thousands across the country.

The U.S. president has repeatedly threatened Tehran with military action if his administration found the Islamic Republic was using deadly force against antigovernment protesters. It's a red line that Trump has said he believes Iran is “starting to cross” and has left him and his national security team weighing “very strong options.”

But the U.S. military — which Trump has warned Tehran is “locked and loaded” — appears, at least for the moment, to have been placed on standby mode as Trump ponders next steps, saying that Iranian officials want to have talks with the White House.

“What you’re hearing publicly from the Iranian regime is quite different from the messages the administration is receiving privately, and I think the president has an interest in exploring those messages,” White House press secretary Karoline Leavitt told reporters Monday. “However, with that said, the president has shown he’s unafraid to use military options if and when he deems necessary, and nobody knows that better than Iran.”

Hours later, Trump announced on social media that he would slap 25% tariffs on countries doing business with Tehran “effective immediately” — his first action aimed at penalizing Iran for the protest crackdown, and his latest example of using tariffs as a tool to force friends and foes on the global stage to bend to his will.

China, the United Arab Emirates, Turkey, Brazil and Russia are among economies that do business with Tehran. The White House declined to offer further comment or details about the president’s tariff announcement.

The White House has offered scant details on Iran's outreach for talks, but Leavitt confirmed that the president's special envoy Steve Witkoff will be a key player engaging Tehran.

Meanwhile, Vice President JD Vance, Secretary of State Marco Rubio and key White House National Security Council officials began meeting Friday to develop a “suite of options,” from a diplomatic approach to military strikes, to present to Trump in the coming days, according to a U.S. official familiar with the internal administration deliberations. The official was not authorized to comment publicly and spoke on the condition of anonymity.

Trump told reporters Sunday evening that a “meeting is being set up” with Iranian officials but cautioned that “we may have to act because of what’s happening before the meeting.”

“We’re watching the situation very carefully,” Trump said.

Demonstrations in Iran continue, but analysts say it remains unclear just how long protesters will remain on the street.

An internet blackout imposed by Tehran makes it hard for protesters to understand just how widespread the demonstrations have become, said Vali Nasr, a State Department adviser during the early part of the Obama administration, and now professor of international affairs and Middle East studies at Johns Hopkins University.

“It makes it very difficult for news from one city or pictures from one city to incense or motivate action in another city,” Nasr said. “The protests are leaderless, they're organization-less. They are actually genuine eruptions of popular anger. And without leadership and direction and organization, such protests, not just in Iran, everywhere in the world — it’s very difficult for them to sustain themselves.”

Meanwhile, Trump is dealing with a series of other foreign policy emergencies around the globe.

It's been just over a week since the U.S. military launched a successful raid to arrest Venezuela's Nicolás Maduro and remove him from power. The U.S. continues to mass an unusually large number of troops in the Caribbean Sea.

Trump is also focused on trying to get Israel and Hamas onto the second phase of a peace deal in Gaza and broker an agreement between Russia and Ukraine to end the nearly four-year war in Eastern Europe.

But advocates urging Trump to take strong action against Iran say this moment offers an opportunity to further diminish the theocratic government that's ruled the country since the Islamic revolution in 1979.

The demonstrations are the biggest Iran has seen in years — protests spurred by the collapse of Iranian currency that have morphed into a larger test of supreme leader Ayatollah Ali Khamenei's repressive rule.

Iran, through the country’s parliamentary speaker, has warned that the U.S. military and Israel would be “legitimate targets” if Washington uses force to protect demonstrators.

Some of Trump's hawkish allies in Washington are calling on the president not to miss the opportunity to act decisively against a vulnerable Iranian government that they argue is reeling after last summer's 12-day war with Israel and battered by U.S. strikes in June on key Iranian nuclear sites.

Sen. Lindsey Graham, R-S.C., said on social media Monday that the moment offers Trump the chance to show that he's serious about enforcing red lines. Graham alluded to former Democratic President Barack Obama in 2012 setting a red line on the use of chemical weapons by Syria's Bashar Assad against his own people — only not to follow through with U.S. military action after the then-Syrian leader crossed that line the following year.

“It is not enough to say we stand with the people of Iran,” Graham said. “The only right answer here is that we act decisively to protect protesters in the street — and that we’re not Obama — proving to them we will not tolerate their slaughter without action.”

Former Republican House Speaker Newt Gingrich, another close Trump ally, said the “goal of every Western leader should be to destroy the Iranian dictatorship at this moment of its vulnerability.”

“In a few weeks either the dictatorship will be gone or the Iranian people will have been defeated and suppressed and a campaign to find the ringleaders and kill them will have begun,” Gingrich said in an X post. “There is no middle ground.”

Indeed, Iranian authorities have managed to snuff out rounds of mass protests before, including the “Green Movement” following the disputed election in 2009 and the “woman, life, freedom” protests that broke out after 22-year-old Mahsa Amini died in custody of the state’s morality police in 2022.

Trump and his national security team have already begun reviewing options for potential military action and he is expected to continue talks with his team this week.

Behnam Ben Taleblu, senior director of the Iran program at the Foundation for Defense of Democracies, a hawkish Washington think tank, said “there is a fast-diminishing value to official statements by the president promising to hold the regime accountable, but then staying on the sidelines.”

Trump, Taleblu noted, has shown a desire to maintain “maximum flexibility rooted in unpredictability” as he deals with adversaries.

“But flexibility should not bleed into a policy of locking in or bailing out an anti-American regime which is on the ropes at home and has a bounty on the president’s head abroad,” he added.

Activists take part in a rally supporting protesters in Iran at Lafayette Park, across from the White House, in Washington, Sunday, Jan. 11, 2026. (AP Photo/Jose Luis Magana)

White House press secretary Karoline Leavitt speaks with reporters at the White House, Monday, Jan. 12, 2026, in Washington. (AP Photo/Evan Vucci)

President Donald Trump waves after arriving on Air Force One from Florida, Sunday, Jan. 11, 2026, at Joint Base Andrews, Md. (AP Photo/Julia Demaree Nikhinson)